Food & Beverage Companies Seek Digital Solutions for Food Safety

While digital technologies such as blockchain offer potential, lack of understanding is holding back widespread adoption.

Digital Tools for Consumer Safety

According to a global survey of more than 1,600 food and beverage industry experts, companies sense of the importance of new digital technologies to food safety, but lack understanding as to how to apply solutions like blockchain for this purpose. The survey carried out by DNV GL and GFSI found that only one in 10 companies are currently using new technology to ensure food safety, but firms responded more positively in the longer term, with projections showing this number would grow to almost four in 10.

Of the new wave of digital technologies, sensors and beacons (44% today, 56% in three years) are the most widely used solution followed by blockchain (15% today, 40% in three years). However, the lack of clarity is impacting investment decisions with more than a quarter of companies saying they do not know how much they will invest in digital solutions in the next 12 to 18 months, and 14% answered that they will not spend in this area at all. Asian companies, in particular, see value in blockchain, with 57% expecting to use the technology in three years, which is significantly higher than in other regions.

“Digital technologies such as blockchain will transform many industries, especially those in the retail sector, but this survey indicates that for far too many food and beverage companies these technologies have yet to transition from buzzwords to real applications,” said Luca Crisciotti, CEO – business assurance, DNV GL. “At DNV GL we introduced blockchain to raise transparency in the certification process and to help brands bridge the trust gap between their efforts and consumers’ concerns, but it is clear we must work together as an industry to fully utilize the potential of new digital technologies to improve food safety.”

Elsewhere in the survey, safeguarding the health of consumers (88%) was shown to be the main driver of food safety, followed by laws and regulation (69%) and needs/requests from customers (60%). Commercial benefits (30%) rank low, indicating that ensuring food safety is seen as a prerequisite.

Operational risk (76%), such as contamination, is perceived to be the standout threat whilst a lack of food safety culture (30%) and compliance to regulations (28%) are the next two biggest risks. The fear of operational risks is especially strong in Europe (82%) compared to other regions.

A clear majority of companies view certification as a necessity of doing business (79%) while more than half (53%) see it as a way of improving food safety.

Click through these slides from DNV GL for further insight from the survey.

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